In order to thrive in the medical device manufacturing field, companies have to constantly redesign and redevelop their products. Since medical devices are usually highly technical in nature, they almost always meet the qualifying activities required to obtain the Research and Development (R&D) Tax Credit. There are four requirements needed…
Software and technology companies perform qualified research activities (QRAs) on a daily basis, making them eligible to claim the Research and Development (R&D) Tax Credit. These companies conduct enormous amount of R&D activities, which makes them one of the strongest contenders for this valuable tax incentive. The software and technology…
Startups can benefit from the Federal Research & Development Credit this year and reduce their quarterly tax liabilities with a Payroll Offset of up to $250,000 this year! We know how beneficial the Research and Development Credit (R&D Tax Credit) is when reducing taxable income for profitable companies, as well…
Several stages and activities are involved in the research and development of a product, process or service in order to create them. Some of these stages generally qualify as qualified research activities (QRAS), but others don’t meet the IRS Four-Part Test threshold. In order to obtain the Research and Development…
Contracts matter to the IRS, so it is important to take a closer look at funded research and what it means to the Research and Development Tax Credit. Research expenses are considered funded if they are compensated by grants, contracts, persons or government entities. To be eligible for the R&D…
A company is able to obtain benefits from the Research and Development Tax Credit as long as they have Qualified Research Expenses (QREs). The IRS defines QREs as the sum of “in-house research expenses” and “contract research expenses”. Those in-house research expenses include: Wages: Taxable or subject to self-employment tax…
In addition to the Research and Development (R&D) Tax Credit’s IRS requirements and guidelines, the IRS also requires the “consistency rule” be used as a basis to request and collect financial and technical information for current and open tax years. The “consistency rule” states that the qualified research expenses (QREs)…
Come one, come all! We have officially launched the rad app, a ground-breaking way to process R&D Tax Credit claims online. It’s the first of its kind and we can’t wait for you to check it out. Our thoughtfully designed and streamlined technology allows for your business to maximize its R&D…
Does your company use internal software to increase operations or sales efficacy? Great news! You might be able to claim it when you file your taxes under the Research and Development (R&D) Tax Credit. In early 2015, the IRS released a new set of regulations that determine what qualifies as…
The Research and Development Tax Credit was created by Congress in 1981 as a way to help companies in the United States stay competitive within the global marketplace. The PATH Act (Protecting Americans from Tax Hikes Act) officially made the R&D Tax Credit permanent on December 18, 2015. The PATH…